Page:United States Statutes at Large Volume 48 Part 1.djvu/1189

 73d C ONGRESS. SESS. II. CH. 672 . JUNE 19, 1934 . 1163 have been made to the company shall bear to the total number of stipulated payments required to be made to the company under the contract, and if there be any indebtedness to the company under the contract, the amount of such paid-up annuity or pure endowment shall be reduced by an amount bearing the same proportion to such paid-up annuity or pure endowment as such indebtedness bears to the reserve on such paid-up annuity or pure endowment, computed according to the standard adopted by said company in accordance with this chapter. Seventh. A provision that the contract may be reinstated at any faulted de- time within one year from the date of default in making stipulated payme nts to the c ompan y, pro vided that a ll ov erdue stipul ated payments and any indebtedness to the company on the contract shall be made or paid, with interest thereon at a rate to be specified in the contract but not exceeding 6 per centum per annum, payable annually. In cases where applicable a company may also include a req uireme nt of evide nce of insur abilit y sat isfact ory to the company. No contract for a reversionary annuity shall be so issued or Con tra cts for rever- sionary annuity. delivered unless it contains in substance the following provisions A. Provisions "First","Second","Third",and"Fifth", of bie rovisions applica- this section, except that under provision " First ", the company may, at its option, provide for an equitable reduction of the amount of the annuity payments in settlement of any overdue or deferred pay- ments, in lieu of providing for a deduction of such payments from any amount payable upon a settlement under the contract. B. A provision that, if the age of any of the persons upon whose Misstatement of age. lives the contract is based has been misstated, the amount payable under the contract shall be such as the stipulated payments to the company would have purchased at the correct ages. C. A provision that the cont ract may be r einstated at a ny time faulted contract. Rei nst ate me nt, de- within three years from the date of default in malting stipulated payments to the company, upon production of evidence of insura- bility satisfactory to the company, provided that all overdue pay- ments and any indebtedness to the company on the contract shall be made or paid, with interest thereon at a rate to be specified in the contract, but not exceeding 6 per centum per annum, payable annually. Any of the foregoing provisions or portions thereof not applicable phP rov isi ons to nonot to nonparticipating contracts nor to contracts for which a single pating contracts. stipulated payment to the company is made, shall, to that extent, not be incorporated therein ; and any such contract may be issued or delivered in this District, which, in the opinion of the Superin- tendent, contains provisions on any one or more of the several fore- going requirements, more favorable to the holder of the contract than hereinbefore required. Nothing herein contained shall be construed to prevent a life company, which issues life insurance on a participating basis, from issuing annuities, reversionary annuities, or pure endowments on a n onpa rtic ipat ing basi s. Any such contract or any application, endorsement, or rider form construction of con- tract violating provi- used in connection therewith, issued in violation of this section, shall, sionshereofs nevertheless, be held valid, but shall be construed as provided in this section and when any provision in such contract, application, en dorsem ent, or rider is in conflic t with any pr ovision of thi s sect ion or with any other statutory provision, the rights, duties, and obliga- tions of the company, of the holder of the contract and of the bene- ficiary or annuitant thereunder, shall be governed by the provisions of this section.